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There are many tricks that market makers do
It may very well have been a mistake of setting a market order by someone not realizing you should never never put a market order on a penny stock. It was also done when the spread was very close not realizing the spread changes rapidly in this.
It may also still have been a market maker strategy to drop the prices and stoke fear (which worked). They could have set a market order to execute their bids in the way down to stone that fear. They did it on Friday too!!! .0125 before going to 4 cents.
Here's a link to tricks market makers do
https://www.investopedia.com/articles/financialcareers/06/mmakertricks.asp
I keep hearing about the 3milluon shares......
Do the math folks. Roughly 60k strategy to stoke fear to get you to free up and sell your shares more easily in what is obviously a 500 million dollar market cap holding in the making.
This is not about sc72. The top company. Pxp did solid. And apx keeps rising. This is about a penny stock being played with because it's easily manipulated and there's profits to be made in the fear strategy they are invoking. I added. Did you?
Dont get fooled folks. You saw this dip to .0125 on. Friday before it touched 4 cents
Furthermore pxp held strong at 15 and apx hit 1.95. . They are sleeping in ph right now. Not negotiating anything. Stay long and strong. Don't get cheated by the market maker of head fakes. The bid keeps rising and he won't bite
It seems just as I was writing that ad I predicted. The market maker dropped down. Sold me some shares at .012 that I had expected and doubled that position quickly. Thank you mr market maker
The two day jump on Thursday and Friday coincided with the article that came out saying that the framework agreement was very near and that exploration would be fast forward at that point. Ceytano words ontop of duterte meeting Xi around the same time.
Without a recent daily article to keep this pumped, expect the market maker to introduce volatility to shake out weak hands and make money between wide spreads. There is also a chance that someone bigger than us has taken notice and is building a position anywhere under 4 cents. Maybe even the market maker who needs to balance his books on fecof after selling fecof naked for months. Hopefully a short squeeze in the making . That would explain all the shares available despite the thin float. Just my opinion.
Either way I say shut it off. Go for a walk and check back next week as it's way higher despite the gut crunching volatility due this entire week. Save yourself the stress. We know we are waiting for announcements and not following blindly with a trending upwards graph alone. Stick with the plan. ??
https://oilprice.com/Energy/Gas-Prices/LNG-Prices-Soar-On-Rising-Geopolitical-Tension.html
Sure is better for oil to be going up to 72 a barrel (4 year high)when your fully invested in an oil/gas/L.N.G. Field That's soon to start drilling.
Yes. Of course he did. Like 4 days ago. Green light to make the framework. But you have to understand he has people to work the details so ceytano speaks for him. Ceytano spoke 4 days ago and that's why the higher. Plume and price is there. When he says things like "very positive, could be explored/drilled very quickly after the framework and contract. And references that it could happen as quick as a week or 2 for framework agreements and possibly a month after that for drilling. They've all been posted here. Duterte met like 3 or 4 days ago with Xi and this was one of the top discussions among others. Duterte returned with new loans. So it's all very very good.
Just google the terms. Duterte. Xi. South China Sea and you'll see the latest links
Yes. They do Jim. It was gse101 that became sc72
They use to have 25% at one time way back
of this field in the reed bank. The Chinese did their own research and are willing to fight and steal it so you know something of huge value is in there.
The project was delayed and now they are about to sign a deal I. What most of us believe are only months away from actual drilling. Talk about using the malampaya rig to bypass a new platform that takes years.
Exciting as the South China Sea has been said to have reserves only second to Saudi Arabia. Maybe an exaggeration but it's still a big deal. Definitely worth the speculative risk at these prices
Fecof has almost 7% of sc72 currently because of dilution in past years but still worth a value play at just a 10 mil market cap
Hey buddy
I've been on this ride before so I don't want to jinx myself. I own twice as many shares on this ride the second time around.
I will happily confess that this kind of volume at avg 3 cents is waaaaaay more impressive knowing over 100k dollars traded today as compared to just 5k trading hands,,,,,, but I'd still like to see more and a continuation of it.
What would really. Really give me lasting confidence and sustaining price movements besides the expected future contract announcements, would be to hear that pxp is taking forum shares public again on the Nasdaq sometime soon after contract, allowing an excellent valuation comparison for fec resources to verify their equity worth. Besides all the different variables helping explain this rapid action of buying up shares here, maybe someone knows that's in the works too.
If it isn't , then it should be and it would benefit All forum owners in lauding PXP who makes that decision as their majority shareholder
I've seen my equity go up 100k but it's just on paper so far........ and like I said. If this was allowed to ride... and to take equity loans without ever diluting again(many big IF's) then this would be a dollar in 1 year or just about. 4 dollars in like 5 years. But it might get bought out way before then. Nobody knows for sure.
What I do plan and hope for after pxp goes up to 200 with a solid contract. Is to go after them with a lawyer for selling my forum shares without just cause. That could net the shareholders involved twice as much of their gains in their fecof . Just something to think about folks. As far as I'm concerned pxp took out equity at unfair prices, and I'm just waiting for the right time after contracts to get signed to go after them for my stolen equity when it's worth chasing.
I hope so too but it's still way too early.... a few more days of a repeat performance keeping the stock at 3 pennies or higher with strong volume would be a more definite sign of strength, but yeah if they anounce an "agreement contract" which is probably 6 weeks away, and then a drilling contract 2 months after that, then we can see some big jumps. If there is a short squeeze that we don't know about yet. This could sky rocket higher and faster than expected but I do t want to get over excited. Best to stay levelheaded, as dilution worries also lessen the higher thisstock price goes up. Let's see if we see new faces on the board now that the stock is getting more exciting. This boards website has many potential new investors on its other chat forums, we just need to bring those new faces and investors here too.
I wonder who was buying and why? The news of the contract being signed in the near future is a good enough catalyst. Maybe a micro cap investor fund...... an single Individual investor with 100k to invest.... or maybe all these shares being sold this past year on a thin float were possibly naked shorts by a cocky market maker who now realizes this could be a naked short squeeze in the making and decided to cover some. It might even be pxp buying some shares In The open market before making a bid to buy the rest of the company from us at some lowball offer of .10 cents. Rather then cheat us like they did and face criminal charges and lawsuits for embezzlement. Maybe those letters to pxp are making them realize they are better off buying fecof stock outright then stealing forum shares from them. Maybe. All possibilities.
Either way today was a very good sign as it will bring attention and hopefully motivation buyers who will see this as one of the best performing stocks today and want to get in when they realize it's a piece of the reed bank which China has been fighting to get for years.... and that piece of 6.8% of sc72 is still a great price u see 3 pennies for those who see the rest of the upside potential.
Good luck to all for the rest of the ride up!!
A very welcome change. Hello almost 2 pennies !!!
According to their main website. Fec resources.com. http://www.fecresources.com/contact.aspx
Their general contact is that info link and it will probably be cc to the right people. What to write? Write what you feel.
Make a professional looks by letterhead /format and adress dear Sirs:
If your complaint is similar to mine you might want to voice in your own words something like....
" dear sits, I've been an in estor for many years in fec resources and have been distraught over the delays of a contract but worse yet by the strategy that fec has chosen which makes no sense whatsoever for its shareholders other than pxp , their parent company. The act of continuing to give the only equity in forum energy, a promising future contract for SC72 to finally be developed, is against the best interest of fec resources shareholders. Anything else would be better. Obtaining a loan for working capital or even a secondary offering to raise funding after this contract is signed for development. The continued act of doing nothing and letting pxp take a bulk of our ownership could be and should be investigated into criminal activity similar to hidden embezzlement under false pre tenses.
Why not simply have a penny stock newsletter promote fecofs stock price now that the reed bank is back in the news and coming closer by the day to signing a very profitable agreement. We should enjoy similar exposure to pxp who is nearing 5 year highs in anticipation. We , the shareholders are watching and hoping you do the right thing and not just inactivity and waiting to dilute our ownership in forum shares for peanuts once again when in fact it is finally close to paying off for these faithfully long shareholders.
..... use your own words or excerpts. Thanks for caring
Very good question eugenic.
Sound like Jubby lives in the philipines or something. Just about anyone can buy this except some handful of restricted nations. It's Canadian. It's Over the counter and open to about a billion people who want to buy it. It's more of a question why institutions won't buy it. That's why pxp and apx are going up and fecof is not. Still. There are some small cap mutual funds that might buy a million shares or 2 if they got wind of the opportunity here. Maybe I should mail them with A heads up on this. We all need to do our part as we seem to be more empowered and capable then the fecof board that is basically under pxp's thumb.
Besides the very small tight group here on this board, there is nobody else following this stock. And we are all together vested to the max here. As risky as it is because its small and not followed in any direct coverage(yet), Ive already invested disproportionately on this.
It would be very well advised for the company to take this opportunity as talks are happening pre approval, to pay a small or medium sized penny stock newsletter roughly 50k or so to promote this stock to their penny stock risk takers.... this new added volume would hack up the prices, so if and when fecof ever needs to do a secondary offering or to take an equity loan to pay for their share of drilling expenses, their stock would be already higher at 3 pennies or so. They really need to be doing this instead of doing absolutely nothing and risk being diluted again when the stock is stuck under .015. The fact that forum is not publicly traded anymore as it is in private hands of pxp, it is more important now than ever for them to put some YouTube advertisements and such for people searching penny investments , to prop up the stock price thru awareness and new investors. Pxp doubling in price from here is no guarantee to do the same for fecof. Thank god fecof has about almost 2 years to afford administration costs. Etc. but they must do something regarding their awareness to new investors. Even to bring in an angel investor despite some dilution. Anything is better than pxp just allowing us to wait and be diluted as they offer to buy us for 2 pennies or less if it just sits here. Let's all write to the board and tell them to put us on a stock newsletter to prop up the price for future equity loans that will be needed. Their past strategies of selling out blood (forum shares) simply to stay afloat , never was and still is not a viable strategy for the future and best intention for the stock holders.
Makes me consider writing my own ads on YouTube to help prop up my 60k investment.
I remember when "plug" was just 15 cents. They got an angel investor to help them stay afloat and meet their future contracts, despite being diluted share wise, they jumped to 25 cents that day. And kept going past 10 dollars a share months later. That's another way for fecof to go IF pxp would allow it or even be the angel investor instead of possibly hoping to buy out shares for nothing once again. Time seems to be on our side for now as a deal is moving quickly,, but we should still push them to act now. Just my opinion
From the annual report I've taken excerpts of interesting things.
2008, FEP finalized farm-out of a 30% interest in the license to a local partner Monte Oro Resources & Energy, Inc. (Monte Oro) in which FEP benefited from an immediate cash payment of $1.7million, securing Monte Oro’s involvement and thereby qualifying the Joint Venture for the Filipino Participation Incentive Allowance (FPIA) which entitles the Company to 7.5% of gross revenues, prior to sharing revenues with the government.
That 7.5% of gross revenues prior to sharing revenues with the govt is very interesting and I wonder if it's still grandfathered in. I don't see why not. It definitely gives fecof some added bonus when this is up and drilling.
I want to add for those investors who came here after the Chinese harassment of sc72 , that when this was going to be drilled with a JV, fecofs part of the expense was going to come thru a line of credit from Philex/pxp. I expect the same this time. Considering that they now have a much smaller 6.8% thanks to pxp , their line of credit will be much much smaller for their share of the drilling expenses.
Another good/interesting excerpt is:
Our accounts show income for the year ended December, 2017 of 1,803,036 or $0.00 per share, versus a loss of $(249,569) for the same period in 2016. The difference was because of the $1,965,000 unrealized gain on the reclassification of Forum Energy shares as a result of our loss of significant influence. Prior to the dilution, we accounted for our investment in Forum Energy using the equity method; following the loss of significant influence this investment is now classified as available for sale and is measured at fair value.
The article above explains how we use to use the equity method and now after the "loss of significant influence" this is now measured at fair value ..... which is tricky since fep doesn't trade regularly anymore as a private company. Any transactions though in the future by someone like Atok big wedge or apx selling some interest for cash would help in that manner.
This stock for its low price certainly does not come without its own risk this the huge discount to pxp shares. I for one am hopeful that risk is justified by its huge upside. Nonetheless I'd buy some pxp and apx to be involved for the long haul here to compliment the fecof shares just in case fecof takes an early buyout of 15 cents or something.
Irish
I don't understand how you conclude that fecofs board doesn't like pxp or that it's excellent news.
The fecof board is mostly of the same guys as pxp and or their appointees. Fecof after all is a subsidiary of the parent company pxp which ones belonged to philex before being spun off. The language to me sounded more like how we might even get less for forum shares in the future or not even have time to conclude any sale if the company runs out of money before a deal can be made. This is language I expect to hear from a company ready to go broke. A company with lots of debt and that is not fecof. Maybe they are trying to shake some weak hands lose with this language so they can gobble this company up in the near future getting the remaining shares of forum on the cheap.
I strongly advise not to be rattled by this and to hold your shares right as any fear selling would be a self fulfilling prophecy and easier for them to take. We are soon going to see that contract signed before any dilutive measures of any kind can be justified. I agree we are well far from a year plus,,,, before dilutive talk can happen. And by then forums private placement could be worth waaaaaay more than now.
Apx has and would add shares
Atok big wedge has and would add share
Pxp has and would add shares
She'll does not but would love some forum shares as to get a board seat on forum.
Let's not read to much into this and panic when instead we are getting ready for a big ride up. This wasn't even a press release but more like typical lawyer language talking about going concerns who have no debt or steady flow of earnings.
These guys have always done what's right for pxp and its shareholders. Mainly manny pangilinan . They can't be relied to do what's best for us long term. All I wish is that they leave the company alone ilong enough for the damn contractto be signed so there is indisputable proof that there is value in their equity. They need a lawyer to threaten them from further attempts to defraud this company from its forum shares.
If that statement was made in preparations of a contract failure then yes they've use the right terminology because it would be in fact hard to sell shares of forum if it stays in moratorium indefinitely.
Like Irish points out, they have good cash on hand as of now and they would be nuts to try something criminal like to take this company private or "dissolve" it for less than what it's trading now. It's a Canadian company and equities laws still apply here. We should all write them letters individually and tell them not to attempt any more "deposing" of shares of forum in our fecof company just when our investment is about to pay off. Any attempt will be met with a criminal investigation into equities fraud. Hopefully such a letter will keep them sharp. I prefer to prevent any further dilutive harm to this company before they do something stupid.
When is the damn shareholders meeting anyway?
That was a good article again. It rehatched a lot of things we already knew from 2 weeks ago but it also was informative about China's other two failed jda with Japan and Vietnam. Balance is good.
What I didn't like about that article is that it used an old image of duterte in china. It's a bit misleading as duterte is not in china yet but will go soon I believe in less than 2 weeks to discuss numerous things. I expect the top things on his list is the loans for infrastructure like manillas horrible highway traffic and of course sc72. When that article is current with the expected visit coming soon and positive remarks I expect this fecof stock to be above 2 cents . How long will it hold above 2 cents depends if we have weak hands and if we get a new influx of investors who can bare holding a few years.
Why are people waiting for Ceytano to say something from march 21? He was already quoted that he felt positive and confident that an agreement/compromise would be made and that they would drill the much needed sc72 reed bank.
More importantly than what ceytano said is what the road blocking bully Chinese said, and they also confirmed his remarks that its positive and they are confident that this will move forward quickly.
China needs this For Geopolitical reasons just as much as ph needs this for energy. We are getting close to end game for who will control the South China Sea under different and multiple premises, and china needs this deal to convince others like Vietnam to act similarly. The Chinese navy can now use the excuse of protecting their energy investments when and after this deal is done. This will allow china to have its navy effectively dominate the South China Sea to its very edges , and to push the USA navy out of its dominant role there.
Just my opinion. I now own 4.3 million shares as I e recently added u set a penny. I must admit I am getting tired of prompting it up seemingly by myself and a few others. The float must be incorrect. There are seemingly endless shares of this "limited" float. Nonetheless it's tight enough to have a huge run with a difinitive announcement and further more with a "proven reserves" announcement in the future.
If you have 500 bucks laying around, buy some for your kids or nephews portfolio. This will help keep the stock prompted higher , eliminating more shares away from the market maker, and according to supply and demand it should keep the price higher.
I still fear somewhat that the parent company could buy fecof in the same fashion they bought Forum and took it private and justifying a cheaper price than its pxp shares, by simply stating its average price for Forum over the trading month or months was such and such. For this reason I'd love to see our average price edge higher rather than this market maker continuing to close the shares lower with minuscule trades.
Either buy these low shares for yourselves or get the word out with friends, families and other investors on different boards, as the investment has been in jeopardy to the whims of philex and now pxp the last 7 years. The more we control and prompt it higher than a penny, the better situated we are as this can still drag longer than expected.
Correction. : I meant to say pxp is a multi million dollar company. Around half a billion US dollars... with its volatility..... so yeah. Fecof should be at least a 30 million dollar company in contrast ... a 600% jump from where it is now. But no guarantees it will be fairly evaluated as such.
Happy Easter to all
I was just reflecting and looking at the big picture here. Trying to time the market with fecof is a losing battle and I've held on since 2011 so a little longer won't kill me. Can't be worse then its lows of .002
When feeling discouraged about its serious lack of volume here, I go back and look at pxp's chart on February 15 where it had 73 million shares traded.....only 6 weeks ago..... such a huge buying surge making the stock (a multi billion dollar company) jump in tens of millions by the minute let alone by the day. It's a very impressive move that even though it doesn't guarantee fecof will mimic the same kind of love, it certainly is hopeful to think that as sc72's shares are being recognized in forums ownership, and appreciating in multi hundreds of million worth, someone might realize that fecofs puny 5 million market cap is an EXTREME undervaluation in this same forum shares. Worth at least a 30 mil today (in my opinion (fecof) ) if Pxp can be argued to be worth their Hundreds of millions in surge in valuation to where they trade pretty steady over 400 to 500 million market cap.
When a contract is announced, even if pxp doesn't rise by 100% immediately . That sameday, maybe fecof can still make its run as fecof was fighting against time before and the constant dilution thru shares of their forum holdings. A signed contract should POLARIZE everything. Value players, growth players and speculators will come. Even if they need to pay an ad company some money to help prop up the stock price thru marketing, which I doubt pxp will do for us willingly. We will have to do it ourselves by hitting every message board we can as at least we are not peddling junk but real value in something we own.
Considering that leviathan In Israel was found about the same time as sc72, but delayed drilling due to oil prices, and also the fact that fecofs 6.8% of forum is worth today at .014.... compared to fecofs 20% of forum back in 2012 making fecof shares trade at 5 cents..... the opportunity to make a cheap purchase into the more and more promising speculation of sc72, seems as good as ever, despite the twists turns and delays.
https://www.stockmarketclock.com/exchanges/pse/market-holidays/2018
Holidays on the pse. Easter Wait til Monday to see what happens
It looks like the market maker is finally trending this higher. That's a bad thing for us as it gets more expensive to add but also good overall so there's a strong base when it finally pops. Higher on news. Also, god forbid pxp tries to pull that garbage again and buy our fep shares or even fecof shares, they sometimes look for our average price for the month. So we need to finally trend higher for our own safety against a parent company who controls the voting rights.
It's interesting to note that. When doing the math, Pxp owns a little over half of fecof, so it could be argued that they only own half our shares in forum. That 75% of forum shares is not exactly accurate. It's more like 72%. They may actually want to buy fecof outright to benefit completely from our forum shares. I prefer they just leave us alone and let us ride by ourselves. Shell oil. And chevron might want a board seat at sc72 by buying is out. An unsolicited bid is welcome in my book but maybe a bit unlikely. For now
Not any emphasis in the reed bank like in the previous statements from this Chinese website . A bit suspicious, maybe since they censor everything they don't want their citizens to know they are conceding half to the philipines which is an outrage because everyone knows China owns the whole planet and shouldn't have to share with anyone. It says so tight there in their ancient maps. I guess Ancient Greece is going to demand the other half of the planet with their old maps too.
Hello gnooster
Why would you ask for Irish to be silent??? If he wants to ask a very legitimate legal question on how many shareholders have been getting screwed out of sc72 /forum shares then he has every right to.
Furthermore it can only serve us good as a deterrent from pulling that crap again and even possibly serve as the beginning of a class action lawsuit for paying less then they did. I'd like to join the suit personally especially as pxp goes up in value using the forum shares in their holdings that rightfully belonged to my company fecof.
If pxp wants to buy more forum shares like they always have done and still do, then Let them buy them in the open market and not under the table like they've done.
Good on you Irish, I for one would thank you to send that out. I might use is as a template to send my own similar letter out and flood these crooks with notice that we are unto their games.
The only fact worth knowing is that this company is just 5 million dollars total with a 5% stake at what is finally progressing to become a multi billion dollar company. Even from a 5 million to a 500 million dollar company that would be 10,000% or 100 times your money. Even if it takes 20 yrs that's like a 5 dollar stock going to 500. And yet there are 700,000 shares at the ask of .0125 , and nobody is taking it??? Even with the positive meeting 3 days ago? That my friends is nuts. Thats a fact.
That's a fact.
I hope you all live to regret not taking more or telling your friends to buy it when it was easy Pickens.
Did .0129 ask .013
Well what a nice change for once. I can't remember how many years it's been since seeing the spread so close. Maybe a good sign of things to come. My family and I have 5 million shares. Not for sale!!!
When duerte visits in the near future it's game on. China themselves can bid for fecof too . I think they can afford 100mil just to have a seat in the forum board meetings next to pxp. Nah. Make that 300 mil
I've noticed most of these contracts give the "operator" 70% of the revenues as they also pay for the expenses. And investment to get this project going. 3.5 billion for a platform over years is no small task or expense.
The malampaya field is public knowledge where the operator for 70% , the consortium got 90% of the 30% left over,which they split 45% each and the ph govt got 10%
They revised their constitution so the ph govt would only do deals of them getting a 60/40 split of which I believe is after the "operator". I guess the operator could be the owner of the concession themselves or a partner that is brought on later. They partner that bares the expense of the project.
Where it is still left unclear is if china is looking for a 50/50 split, which is not allowed between governments within its current constitution of the philipines, or if they will actually have cnooc be the "operator" in which they will give them 70% (probably) of the field appeasing both sides. And maybe promising cnooc ( the state owned/run corp of China) to get preferential splits on all disputed wells.
Another version would be that they bring in another partner to be the operator which will then reduce the amount of profits left over by a huge amount.
Also I don't know if that 70% for an operator is the industry standard or not.
What is certain is that it will be a creative contract where the variable can be very different to appease almost everybody and to get it finally done. After all, 100% of nothing is nothing when we had a contract under moratorium.
It's best to just wait and see before juggling new Myers around, bit of you really want to entertain yourself with that thought, the key question is if cnooc is the "operator" or just an added partner to add to the split of the profits by another 50% after the operator takes their 70%?
Yes. Let us all pray that it's 20tcf to come close to the percentage returns we were dreaming about.
That's why fecof is a higher risk than people realize or care to admit.
For the reason and probability of fecof being bought whilenundervalued.
How do you stop them? With lawyers threatening a class action lawsuit if they continue to clearly do what's not in the best interest of shareholders as it is a criminal offense to fleece a company in that similar manner when it is now clear that there is value in those shares and equity contract..
There is no law for the mathematical formula or comparison chart you presented, that says a company should pay more for something just because their market cap went up and the other one with similar shares didn't. As long as they pay for a premium of some sort like they did when forum was on the aim market, then they get away with it. If it has been in the open market then it's a legal move to pay a premium for the company and do a buyout. Maybe that's why they put it in that ridiculous miniscule hard to trade market in the first place. To simply buy our shares cheap in a comparison market of the direct shares for shares. Thiey did pay a premium though at 50 cents before you got in.
Also. By trading in the Canadian stock exchange fecof does have a deterrent for scammers and for owners of a company trying to embezzle funds or shares from a company and its shareholders if it's not in the company's best interest. Now that the stock is finally going higher because the contract is going to be signed it would be a clear act of trying to cheat the shareholders out of an equity position that is clearly going up in value and I don't think the directors want to bring a criminal investigation upon them. What they did before is arguably a better reason for them to take those shares when they did at a premium and also on what looked like a dead deal. The moratorium will lift in a couple of months and that game can't happen. Only a buyout of the entire company like they did with Forum and combining it under pxp ownership when it was philex mining. Philex shareholders also got their fep shares direct from philex shares. Why? Because manny wanted those shares in his name and not in the philex mining company. That's why. Nobody mentions that.
Furthermore I looked at your list and I don't understand how you could imagine fecof getting a p.e.e. Of 25. The only reason it even looks like fecof has a pe right now is because of the money they received from the sale of forum shares. There will be no p.e. Next year as there are no sales or profits next year. They are a holding company. What kind of p.e do mutual fund companies get? They mostly get a negative nav.
Also when looking at your formula I don't see the part of the 60/40 split with the philipine govt. which is constitutional law ever since the ph govt got screwed with the malampaya rule, and possibly a JV partner taking a share too. That formula had me thinking I should sell when and if it gets to 8 cents. But I Will wait for the details of the contract and drilling to see how many tcf are really in there and hopefully they can do well.
This will play out in the financial news in a certain way.
This is actually a very big story for both the financial world and even more so in the geo- political world.
This means a certain level of peace in the South China Sea. It means China's navy can come all the way down to Palawan under premis of defending its oil wells via cnooc. It really changes the landscape and is a big game changer for China. It's bigger for China than it is for the philipines, they just knew how to play this poker hand better and they simply won the waiting game.
When people read between the headlines, especially individual investors, they will search to see who own the oil contract in the reed bank. They will find forum energy, when they dig deeper they will find pxp:pm. And 5% of those investors will dig even deeper into the profile of pxp which states that pxp owns shares forum energy indirectly as well thru Fecof. When they see fecofs tiny market cap they will get excited like I did 7 years ago.
Institutional investors will flock to pxp and some to apx:pm as well.
This will in turn bring more attention to fecof too. Just don't expect the same increases in stock appreciation as it simply doesn't work that way in the real world. That's why spinoffs happen so undervalued plays and equities can be appreciated in value.
I don't expect this to go straight up. Especially with selfish market makers really dictating most of the moves and direction here. It will see saw for a while. Headfakes. Etc
Irish
I would have to agree that it's way too early to try to figure this one out becaus this is a very unique situation where china is now going to be factored into the mix probably asking for half , maybe even more, by way of contract negotiations thru their state owned cnooc. So imagine half of the worth of this discovery true worth, and then we don't know how many tcf are really there with such a big discrepancy among the numbers.
So I agree that even though you could have fun trying to imagine or dream what kind of return you can get, you shouldn't really be pushing any of your numbers as fact or most likely.
The only most likely numbers is somewhere between zero and a trillion dollars getting divided up into god knows how many ways. And yet it's still a decent bet considering fecof was dead floating in the water a year ago. Somehow miraculously there is some life breathes into this thing. Keep your fingers crossed and wait for a more clear image which is months away. Expect this stock as well as pxp to go up and down very often til then and beyond.
The spread on fecof has been as much as 40%. The market makers are like theives in the night. And be super beware of the headfakes in trades they make to get you to panic and sell them your shares. I say lock it up into your kids trust fund, or your ira, and simply forget about it. Check occasionally if they got bought out and pray that they don't because it won't be a fair deal. The real value is in the wait and patience of 20 yrs.
Lastly....... there will be NO discussion for a buyout. Pxp owns the majority voting rights. They can decide any day they want to just announce that a deal was done. At a price they choose. No discussion whatsoever. No permission. If at that point we feel it was unfair we do a class action lawsuit and recover a fraction of what was lost.
Lesson learned is never buy a company majority owned by its selfish parent that happens to be in the same chase for the same revenue stream as its subsidiary. Like stealing candy from a baby. thats why I repeatedly say. Buy some pxp too for the long haul just in case fecof gets knocked out of the race early. Diversify the play on sc72
This was more like a 60% move for pxp when considering its intraday low of 9 a day and a half ago.
Makes you wonder if besides the program sells no that maybe the market makers had it drop that low to set off stop loss orders and gobble up shares they didn't have on its original move from under 3 to 19. I would love on a second chance to buy just a small piece of this under ten. This could be the philipine version of Exxon Mobil in 20 years, from an almost bankrupt company at 1.20 pesos a year and a half ago. But only if the deal gets signed.
I personally think there will be a deal signed but after a lengthy eXtension. It's tied with the loans. When China misspoke and said they will have the ph oil reserves as collateral, I think the idea of that is that by controlling the wells and in a partnership montheless, china can hold Pnoc's share of the profits as any missed payments on the loans, which in turn gives china the full ownership they wanted to, besides the scraps to forum. There's always a legal way to screw out the little guy if needed. On the other hand it means this needs to be pumping for its real equity value and cash to finally start rolling in...5 years after a platform maybe?
So the deal will get done eventually.
Pxp was as low as 9 last night and settled 10.80
We may never see pxp at 9 again unless there is more program selling. The entire pse was red across the board and the stocks with the biggest rises came crashing down. I believe it had more to do with the general market and program selling and not a red flag for sc72. It was a very nice bounce for daytraders back in at 9 with a steady climb to where it is now. I'd love to buy some at 9 given another chance as this company will buy the competition and grow in the oil/gas rich Palawan region as sc72 also grows in the future..
Apx was the better investment when considering market cap and percentage of sc72 but now with pxp's drop it's currently pxp. Apx has been the most stable near its lows as predicted.
Great read in link below
You can draw comparisons and understand the well thought out strategies it takes to get a similar field completed. I can see our contract and strategy being very similar to this. A great point involved is how they estimate the fields worth at each point in time, explaining that with every obstacle and risk removed the field becomes worth way more value in its lifetime. That's how our stock will be affected too. Really good read!!
https://www.google.com/amp/s/www.haaretz.com/amp/israel-news/the-biggest-ever-infrastructure-project-in-israel-gets-under-way-1.5442428
That's definitely nice to see, it validates statements like the one I read about the philipines having the largest gas/oil reserves second to Saudi Arabia and yet untapped.
Natural gas prices are kinda low , sadly when you're an investor in this market.
But the good thing is that liquified natural Gas is way more expensive and can bring in healthy profits . I'm not sure if forum can benefit from LNG exports or if that's just something the philipines and the manufacturers would profit from. Since cnooc is in the mix it would be interesting to turn the gas into LNG thru cnooc and forum getting a piece of that pie in a smart thought out contract, possibly doubling the profits. Then again I guess forum can just process its own excess gas into LNG and sell it on its own, maybe. Just a thought.
There haven't been any shares of any relevant volume trading below .012 for at least 5 days now. I have to admit it looks like there's many longs. And not much left to buy unless there is a snag in contract negotiations anounced. Not hearing anything back yet may be seen as a very good sign because I imagine if there was something they had a big disagreement with , regarding contract negotiations , then we heard about it by now.
Pxp energy. Pxp:pm just came down to 11:78 pesos from its 13.60 but it did so on no more than average volume for the month. You can consider this way more of a reflection on healthy profir raking from most likely volume traders and technical traders who got in on this stock for both the technical charts as well as the "rumor". Traders getting out of a technical trade. If this somehow reflects even in the tiniest that the contract would take longer to happen and a delay of the 90 days happen, I welcome it with the presence of lower Pxp shares. I'd like to own Pxp in my ira account under 10 pesos as it is the best to grow its company faster than the others specifically focused on what's been called by the energy dept to have the biggest gas/oil reserves the size of Mexico and only second to Saudi Arabia.
My personal view is pxp is waaaay more attractive now, and although apx is mainly a gold mine play I would purchase them at these lower prices too. There's no reason apx can't venture into gas and oil as a concessions bidder and get lucky in addition to 30% of sc72.
Ph wants those 10 billion dollars in investments for 4 new airports. Etc.... and to have many wells drilled at the same time, not just sc72 , so they are very motivated to sign a less than fair deal to sc72 but it does get signed this year at least before fecofs loses close to half of their remaining sc72 shares.
China is equally motivated as they get to have what looks like priority drilling in wells found in uncontested waters as well as contested. A capitulation to china in many ways.
Looks like a win win deal and even with a delay to negotiate formalities ,it's 90% getting signed and done.
Fair enough. I'm just opening conversation to kill time until May. Lol. This definition link of sampaguita describes up to 20tcf with another "8 potential spots". I don't remember hearing that version before. It keeps growing like a mushroom patch.
https://www.nrgedge.net/project/sampaguita-oil-and-gas-field-sc72
For fecof to rise to a dollar you are basically saying that fecofs market cap will rise to 500million just for having 5% of forum stock and a successful drilling.
That means you are equating that forums 70% in sc72 is somehow worth 10billion by itself at that point if n time, despite china taking 50% and a Jc driller another ? Amount percentage wise of the contract too. All before expenses. And all before 8 years before we see our first dollar in profits from the oil field itself. That's too fast. I disagree